Reduce Azure cost using Reserved Instances

Azure Reserved Instances can be used to save cost between 22% – 36% for one year or three year commitment and for Windows VMs when combined with Hybrid Use Benefits (HUB) then the savings go up to ~70%. Azure Reserved Instances are highly recommended for large enterprises, high configuration Virtual Machines and for workloads that are expected to remain active for more than a year.

Hybrid Use Benefits – is the option provided by Azure during Windows VM creation only to leverage your Enterprise Agreement or Software assurance licenses on Azure to get license benefits. Is is given that once this option is selected enterprise needs to keep track of Windows OS deployed, its Client Access Licenses (CALs) & report to Microsoft in their next true-up cycle.

Points to note on Azure Reserved Instances –

Person who is creating this requires Owner level permission on the Subscription